TSX:FVIMetals and Mining
Fortuna Mining (TSX:FVI) Stock Faces Margin Questions Despite Strong Q2 Growth
Fortuna Mining went into this print looking like a value play, trading at CA$13.43 with a P/E of 7.7x against richer metals peers and a discounted cash flow estimate almost twice the current price. The stock has delivered a mixed run recently, with a 30 day gain and a weaker 90 day patch, so expectations were finely balanced.
The headline from Q2 is profit pressure. Basic earnings per share landed at US$0.25 on revenue of US$318.4m while trailing 12 month net income carries a 32% margin. The...